Due to recent requirements by the Australian Prudential Regulation Authority (APRA), Australian banks have begun tightening their policies on lending for investments.
Dave Caffarelli from PEB Finance explains that the reasoning behind this is to ensure sustainable growth in the home loan investment sector, to protect both investors and the home loan and property markets. He said it’s “Basically to keep our lending practices solid”
Mr Caffarelli says “While the guidelines to investment borrowing has become ‘tighter ‘, it does also mean that lenders are trying to attract more owner occupier loans to make up for the slowdown of investment loans”.
As a result of this shift and the requirements by APRA , there are some great specials available for home loans, with some variable rate and fixed loans under the 4% interest mark.
This is great news for the roughly 35% of home owners that currently have a mortgage on the family home.
If you’re thinking it’s time to get in on the recent changes, we can help you find the most suitable option for your situation, call us on 1300 187 894 or drop us an email.
Do you own an investment property? Have you submitted a Tax Variation/Withholding Declaration? Find out how they can hep you get ahead...
*This article is for general information purposes only. It is not intended as financial or investment advice and should not be construed or relied on as such. Before making any commitment of a financial nature you should seek advice from a qualified and registered financial or investment adviser.
PEB Property Group is a complete financial planning advisory service for Perth families. Offices are located in Inglewood and Willetton, Perth, Western Australia and offer - Financial Planning · Finance Broking · Property Management · Real Estate Sales · Property Investment · Development.
PEB Finance is a trading name of PEB Brokers Pty Ltd ACN 604 784 401 | Australian Credit Licence 389510 | Credit Representative Number 476313.
PEB Real Estate is a trading name of PEB Real Estate Pty Ltd (Licensee) ABN 33 604 199 617 | Triennial Number RA70508.
PEB Financial Planning is a trading name of PEB Group WA Pty Ltd ACN 142 958 254. Rebecca Howarth and Howarth (WA) Pty Ltd trade as PEB Financial Planning. Rebecca Howarth (ARN 244928) and Howarth (WA) Pty Ltd (ARN 433328) are Authorised Representatives of NEO Financial Solutions Pty Ltd. AFSL 385845 | ABN 64 141 607 098.